Anyone have experience buying smaller companies ($350-$750k of cash flow)?

by a searcher from Indiana University at Bloomington

3 years ago

Exploring the self-funded route and personally like the idea of starting smaller with something in the $350k-$750k of cash flow range instead of going for the home run on my first at-bat.

Would love to talk to others who have experience with this to discuss the different risk profile relative to $1M+ EBITDA businesses.

10 likes
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18 comments

searcher from University of Southern California

yes. happy to assist. --@----.com

3 years ago | like reply | 0 likes

searcher from The University of Georgia - Terry College of Business

I'm in the process of closing a deal in this size range and have found many benefits. Assuming you plan to inject a decent portion of your own funds, the biggest benefit I have seen is that less additional equity is required. Thus allowing you to retain all (or almost all) of the outstanding ownership. It also reduces the need to manage multiple equity holders and instead focus your attention on the deal/business.

3 years ago | like reply | 0 likes

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